the gunslinger 3,366 Posted January 17, 2015 Share Posted January 17, 2015 Tycoon Mike Ashley faced a rare business setback after a supplier forced one of his retail chains to collapse into administration over an unpaid bill. The holding company behind 28 stores bearing the USC name appointed accountant Duff & Phelps to manage the administration. It has already secured a buyer for the youth fashion chain in what is known as a pre-packed administration. The deal is complex because there are 60 USC stores owned by two separate holding companies both controlled by Ashley’s Sports Direct (up 9p to 725p). The one containing 28 stores – called West Coast Capital USC – fell into administration while the firm behind the remaining 32 stores was unaffected. West Coast Capital USC was trading at a loss and had problems with its trade credit insurance which meant suppliers were not covered for lost stock if the firm collapsed. It owed cash to Italian fashion giant Diesel, which issued a winding up order to try to recoup the debt. This triggered the administration. Diesel and Ashley will have lost some of their investment but as creditors should get a portion back. Diesel and other suppliers will have a claim on any unsold stock. In an added twist it was Ashley’s Republic clothing chain that bought USC out of administration. The administrator was forced to accept the offer rather than auction the business because Ashley was able to move fast due to his knowledge of the business which meant the retailer was able to remain trading. An auction would have taken some weeks and stores would have had to close with jobs lost. Philip Duffy, managing director of Duff & Phelps, said: 'West Coast Capital USC underwent a successful financial restructuring and sale; this leaves the business in a stronger position to carry on trading.' Read more: http://www.thisismoney.co.uk/money/m...#ixzz3P4BYfpti Follow us: @MailOnline on Twitter | DailyMail on Facebook anyone else getting deja vue. no asset sale to the highest bidder. and people say he won't own ibrox with a loan. not till his admins work their magic. 0 Quote Link to post Share on other sites More sharing options...
aweebluesoandso 290 Posted January 17, 2015 Share Posted January 17, 2015 A snapshot into how Fatshley does his trading/business. If that sleekit rat gets his paws on Ibrox and Murray park, not to forget he already holds security of Edmiston house and the Albion car park. They will be split between so many of his companies, it will take Interpol years to trace them. 0 Quote Link to post Share on other sites More sharing options...
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